Learning objectives in this chapter: Discuss why it is critical for organizations to be responsive, describe the qualities of an organic organization structure, identify strategies and dynamic organizational concepts that can improve and organization’s responsiveness, explain how a firm can be both big and small, summarize how firms organize to meet customer requirements, identify ways that firms organize around different types of technology. | Organizational Agility Chapter Nine Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Learning Objectives LO 1 Discuss why it is critical for organizations to be responsive. LO 2 Describe the qualities of an organic organization structure LO 3 Identify strategies and dynamic organizational concepts that can improve and organization’s responsiveness LO 4 Explain how a firm can be both big and small LO 5 Summarize how firms organize to meet customer requirements LO 6 Identify ways that firms organize around different types of technology The Responsive Organization Mechanistic organization A form of organization that seeks to maximize internal efficiency. Organic structure An organizational form that emphasizes flexibility Two Ways to Describe an Organization Figure (a) Two Ways to Describe an Organization Figure (b) Strategic Alliances Strategic alliance A formal relationship created among independent organizations with the purpose of joint pursuit of mutual goals. The Learning Organization Learning organization An organization skilled at creating, acquiring, and transferring knowledge, and at modifying its behavior to reflect new knowledge and insights. The High-Involvement Organization High-involvement organization A type of organization in which top management ensures that there is consensus about the direction in which the business is heading Being Big and Small Downsizing The planned elimination of positions or jobs Rightsizing A successful effort to achieve an appropriate size at which the company performs most effectively Downsizing Survivor’s syndrome Loss of productivity and morale in employees who remain after a downsizing. Customer Relationship Management Customer relationship management (CRM) A multifaceted process focusing on creating two-way exchanges with customers to foster intimate knowledge of their needs, wants, and buying patterns. Total Quality Management Total quality management (TQM) An integrative approach to management that supports the attainment of customer satisfaction through a wide variety of tools and techniques that result in high-quality goods and services. Reengineering Reengineering Revolutionizing key organizational systems and processes to answer the question: “If you were the customer, how would you like us to operate?” Processes are redesigned from scratch as if the organization was just starting out 13 Organizing for Speed: Time-Based Competition Time-based competition (TBC) Strategies aimed at reducing the total time needed to deliver a good or service. Time-Based Competition Logistics The movement of the right goods in the right amount to the right place at the right time
